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tv   Countdown to the Closing Bell With Liz Claman  FOX Business  October 11, 2017 3:00pm-4:00pm EDT

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general jack keane, good to have you here, sir, thank you so much. watching a market that's higher, up 21. another day, another record. good stuff. i'll see you on twitter, tell me what you thought of today's show. liz claman sending it your way. liz: you can see the s&p, could see a record close for that index. eye on closed-door meeting between facebook chief operating officer sheryl sandberg on the hill and expected to be grilled by nancy pelosi and steny hoyer about russia and the ads it was able to buy and possibly influence our elections. keep an eye on that. less than three hours to president trump's latest pitch to the nation on the need for tax reform. the president set to depart the white house at any moment headed to harrisburg, pennsylvania where he'll appear before american trucking industry members who will use the speech to vault off his tax plan he equates to $4,000 pay
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raise for the american households. you see justin trudeau, the prime minister of canada, the commander in chief just wrapping up meetings at the white house right now with him. the focus not just reworking nafta but building it up. a defense alliance, fair and balanced democratic congressman joe crowley of new york is the democratic caucus chair and met with trudeau today and we'll speak with congressman kevin brady live one on one from texas. the house ways and means committee chair, the man writing the house tax reform bill that's in this hour. do not miss it. and north korea really ready to pull the plug on america's antiquated power grid? we talked to the former ceo of nrg, huge, huge company in that space. david crane. about why he looked at this threat years ago and took it seriously. on wall street, markets making yet another run for record highs as the fed says
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it's divided how quickly to raise rates. we're less than an hour to the closing bell. let's start the "countdown." . liz: breaking news -- facebook in the hot seat at this very moment. want to take you to capitol hill where the chief operating officer of the company sheryl sandberg is expected to huddle with house minority leader nancy pelosi and house minority whip steny hoyer, going to question her about facebook's attempts to possibly contain political fallout from revelations that russian agents used the social media giant to influence the u.s. presidential election. by the way, we're getting this, tomorrow sheryl sandberg will meet with the leaders of the u.s. house of representatives intelligence committee behind closed doors. facebook was basically flat, it continues to be up about one-third of a percent, but at the moment right now, it is.
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we'd call it flat at $172.24. on wall street, stocks are looking yes once again at another day of records after the federal reserve minutes showed that it was discussed during the last meeting in september that the december rate hike is all but certain despite persistently low inflation. at this hours, the dow and the nasdaq on track for a record close, the s&p is right there. watching all the levels, any gain on the dow will be a record. all the recent management shake-up moments at general electric doing little to restore investor confidence in the industrial giant. shares of general electric right here while down 1.5% tell a deeper uglier story. a two-year low at $23 even after analysts at jpmorgan cut price target to $20 a share. questioning the stability of the dividend. a fancy way of saying get
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ready, ge may cut the dividend. it's the biggest loser on the dow at this hour. the maker of everything from power plants to jet engines lost a quarter of its value, roughly 70, as in $7-0 billion this year. as the fourth round of nafta. the north american free trade agreement trade talk take place at the white house with canadian prime minister justin trudeau, another round of pitching is about to take place. except this time tax reform. 2 1/2 hours away from president trump speaking specifically about that. right now he's gearing up to leave this hour sometime within the next 56 minutes where he will be pushing tax reform agenda in pennsylvania, barnstorming. really trying to sell it. reportedly only 31 legislative days remaining this year to get it done. so the question lingers. what's holding it up. the clock is running out in 2017, and we got to find out what might be the sticking
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point, the red line or the open gate. fair and balanced. we bring in democratic congressman joe crowley, the chairman of the democratic caucus and a member of the house ways and means committee. welcome, sir? >> thank you, liz, great to be with you. liz: all right. we hear that you and republicans at least on this committee are actually playing well together in the sandbox. can you give us clarity on how well? >> well, i don't want to go too far here in suggesting we're in the sandbox together. we did have a meeting today, joint meeting of democrats and republicans on the house ways and means committee with prime minister trudeau. when he was laying out where he wanted to see the nafta 2 go and recognizing that as you said earlier the fourth stage of negotiation said right now in the d.c. area here in virginia to negotiate those right now. liz: hold on, one second. i'm absolutely going to talk
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about nafta and justin trudeau. my question was how long are you getting with the house ways and means committee and republicans and whether you see ability to cross lines and link arms on at least certain parts of this tax reform plan? >> this is actually the first time we've met this year quite frankly in a bipartisan way outside of the committee itself. we did have a brief meeting with kevin brady, the chair of the committee, of the democratic caucus to discuss tax reform. in the brief meeting, kevin let us know that they are going to use reconciliation, which is a tool to limit the power of the minority in the senate, reconciliation requires a 50 plus one vote in the senate. they don't need democratic votes to pass it, and there's been no, very little intercourse between house, democrats and republicans on the issue. there was a meeting on some
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members of the democratic house ways and means committee, i was not one of them. with the president. liz: here's -- with all due respect. all i heard leading up to this going back six months was chuck schumer, senate leadership for the democrats, saying the red line, before we even sit at the table will be there are no tax cuts for the wealthy. so far, when various bipartisan economic outfits look at this, it appears that there will be a tax hike probably that many wealthy, depending what you score as wealthy, will pay more in taxes. shouldn't that clear the runway for discussion? that was the democrats' red line? >> it depends who you listen to. liz: chuck schumer, multiple times. >> the red line was chuck schumer said, many economists are saying 80% of the cuts in the tax proposal by the white house would benefit the wealthiest 1% in our country. so reducing the marginal rate
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from 39.6% to 5% is a tax cut for the wealthiest in the united states. and i think it is really not distributionally sound, the white house last week could not guarantee that the middle class would not see an increase in taxes. liz: we are about to speak in i want to say, 42 minutes with house ways and means chair kevin brady. if you could say one thing, one thing to him right now across our airwaves, what would it be, about this? >> i would say, kevin, can't we have a tax bill that would actually reduce the tax burden to the middle class and to those who are trying to make it in this country? what we're worried about here, liz, is that we have this increased pressure on our nation's deficit, and folks are going to come along and say what do we do about it? and start cutting things like social security and medicare and medicaid, that's what democrats are vehemently
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opposed to. liz: to nafta quickly, i was at an event during the united nations week about two weeks ago where justin trudeau did speak at the atlantic council dinner and talking about nafta. here's a picture from it, it was on the intrepid, on the coast of the hudson here. i was interested when he immediately said we can't deal with our grandparents or our parents nafta. it does have to be tweeked. what's the number one tweek you would like to see of modernization of nafta as these two discuss it? >> i agree. i think that nafta, as was proposed and passed prior to my coming to congress, wasn't a good bill, a good trade agreement. we need to see forcing increasing of wages in places like mexico. mexico pays penny on the dollars when it comes to automakers in comparison to the united states. puts the united states at a very unfair competitive disadvantage, and i think that the prime minister trudeau
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understands that. what he's talking about is increasing pressure on the united states right-to-work states, on the environment and really stay within the framework of the paris accords. that's what prime minister trudeau is also pushing. liz: well, we will watch and see. congressman crowley, thank you very much. >> thank you. liz: we appreciate it. as we mentioned, now it's about, what would you say, brad? half hour away from a one-on-one with adam shapiro and myself and representative kevin brady, chairman of the house ways and means committee. so stay tuned for that very soon. back to the markets. the dow hitting another all-time high today. the blue chip index on pace for second straight record close and puts the dow closer to the 23,000 milestone. it is stunning how quickly we've gotten there from 19 late last year to 20, 21, 22 and now we're just within points of dow 23,000. the dow is set to close at a
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record 65th record close since election day. morgan stanley declared the bull market reached epic proportions, not hyperbole and not in a negative way. according to the research note, dispersions in valuations and growth rates are among the lowest in the last 40 years and equity hedge fund beta, well, that means people are not going into hedge funds too much, but it's still the highest since march 2008. so is the market run as epic as morgan stanley saying in right to the floor show. traders at the new york stock exchange and the cme group. teddy, that sounds a little like gobbledygook, translate it for us, lots more room to run here? >> unfortunately, they don't give us a crystal ball. i would remind all our viewers, perhaps some aren't old enough to remember, but after reagan got elected from 1982 to 2000, the market went from dow 1,000
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to dow 10,000, so it went up -- the crash of '87, we celebrated the 30th anniversary, but they don't tell us where the tops are, liz, and don't tell us where the bottoms are and saying this for months now, the lines of least resistance are on the upside not on the downside, and even a broken clock is going to be right twice a day, we'll get the big sell-off, but so far we haven't seen it. liz: teddy, write a book, put all of your little sayings in, we'll buy it, promote it, you'll get on amazon's list. ira, what do you think about this? morgan stanley is extremely bullish. other notes from merrill lynch, bank of america say we are at the highest level of full-on equity investment meaning everybody who's got the money is invested in stocks right now. sometimes that's a worrisome sign that there are too many
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bulls and we're all going to get stampeded? >> i'm not seeing what merrill lynch is saying, unfortunately. i keep running into people on the street and they wish they were still in the markets, they get out. we ran into clients that got frustrated because we haven't had a break in the market and they can't get in. i don't know what they're saying. i will tell you something that's scaring me, i'm worngd how much of the tax that you're talking about, the tax reform is in the market, and when we get, it probably sometime in 2018, if that doesn't cause a break in the market because it will be inflationary as we put more money into people's pocket. i think now is the sweet time, and i question when we get the tax reform done, hoping it gets done, if that doesn't cause something of a tack. liz: cubbies are still in it, the yankees are still in it, but go tribe. >> no, no, no, no. liz: what do you mean, no? yes! >> no! >> go yankees. liz: bye-bye yankees.
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and by the way, i'm surrounded by the enemy in new york. >> go, yankees! >> thanks, guys, great to see you. all right, closing bell, enough of that. 47 minutes away. the dow jones industrials up 42 points. that's a record. one of california's biggest exports we told you is literally turning to ashes. wine country covered in soot. the grapes torched. under assault from more than 20 deadly wildfires that are still out of control. it's posing a $65 billion threat to the region. we're going to take you live to napa for the latest. there is a new number of fatalities. we saw what happened when hurricanes knock out electricity. what happens if kim jong-un flips the switch off permanently? here in america. david crane has been warning for years of a shockingly,
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quote, stupid electric system and grid based on 120 million wooden poles. as in p-o-l-e-s. what he thinks american power producers need to do right now to protect businesses and customer safety. we're coming right back. whether it's connecting one of the world's most innovative campuses. or bringing wifi to 65,000 fans. businesses count on communication, and communication counts on centurylink. that's it. i'm calling kohler about their walk-in bath. nah. not gonna happen.
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. liz: disturbing report. north korea's techno soldiers are targeting the u.s. power grid. we can see them knocking defined entry points. cybersecurity firm saying hackers likely affiliated with north korea's supreme leader kim jong-un sent these phishing e-mails to u.s. electric companies for, quote, reconnaissance. meaning they send the e-mails, people click on them, they try and get in. the security firm was able to stop them before disruptions occurred in the power supply for now. joining us in a fox business exclusive is the former ceo of one of the largest utilities in the nation, nrg ceo, david crane, you saw this coming years ago, did you not? >> i was around the electric industry for a long time. i saw the switch from antlog digital. that's going to happen. so the fact that the grid system in the united states is one of the great engineering achievements of the time but
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vulnerable, vulnerable to both cyberattack and physical attack as we've seen in the past, and obviously, all of modern society depends upon it. so it has to be protected in every way we can. liz: i've always thought about this, the complaint is that our grid, national grid isn't really national, it's a bunch of pieces strung together almost with, well, i'm not being obnoxious, spitting sealing wax for a term we could use here, if we linked together and modernized it, wouldn't it make it easier for any successful hacker to take us all down. >> there's an argument, i don't know if it's true because i'm not a cybersecurity expert. the nuclear plans are still based on analog, so by being older they are safer than if they're cni systems were completely upgraded, but it is a quite well integrated,most people in the industry say the u.s. is in three parts, east of the mississippi, west of the mississippi and texas.
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very big footprints. if you can disable part of it, you would disable a wide swath of america. liz: is it just a matter of time before the russians or the north koreans or the chinese are able to find a way to trip the wire and shut off all the electricity? >> i don't mean to be a pessimist i think the industry is doing everything it can. it is a matter of time. the time has occurred in terms of physical disruption to the grid as opposed to to exposed storms, you said in the intro about me talking about the 120 million poles that we depend upon. liz: as in utility poles. >> utility poles. yes. the big implication for business is just like after 9/11, it became imprudent for any ceo to have all servers in one location. i think right now business have to realize they need a certain amount of grid resilience at all important places of business, and that's probably solar on the roofs, storage behind the building. liz: well, speaking of power
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and all of that. the power supply. epa chief scott pruitt signed the proposed rule to basically withdraw the obama administration's so-called clean power plan. ostensibly the business and regulations were too onerous. were they? you having led nrg, were they? >> they weren't too onerous, the truth is and i know that administrator prewitt said the war on coal ends today. it wasn't won by the epa. it was won by the natural gas industry in houston. the demise of coal in the united states has everything to to do with fracking and the price of natural gas, not anything the epa has done or will do in the future. >> are you saying it's all in the rearview mirror for big utilities and small? i have put on the, a the team put on the air the reuters survey that was basically an
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interview with all republican-led states that had big utility operations and pole operations, and two -- every single one that was asked, they said no matter what is relaxed, we're going forward with the scrubers and the cleaner and works better for us to go natural gas. it's market based for us? >> totally market base. just because one four year administration is trying to do something, the pace of retirement of coal-fired power plants in the united states has not slowed down in the year since president trump took office. liz: let's show, the stock performance was dismal for coal companies and producers certainly. look at them since the president took office here, and we're talking now about donald trump. peabody energy down 99%. consolenergy down 10%. is that the free market working or politics? >> the free market working.
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liz: tough to turn around. >> unless you put tax on natural gas, and it's hard to see the trump administration doing that. liz: we'll see. david, thank you so much. >> thanks for having me. liz: he was calling it years ago, david crane, former nrg ceo and now with pegasus capital advisers. closing bell 36 minutes away. walmart and johnson & johnson leading the dow 30 here. caterpillar up there, too. j&j getting a boost after jefferies raised it to a buy with a price target. we have j&j now at 133. call j&j eps growth and dividend machine. credit suisse thinks the puffy place ins and flower crowns are a cash cow. that's right. snap getting an upgrade to outperform with a price target of $20. up 7.66%. the company says oodz doing the
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right thing to attract advertisers and getting a younger demo, as in demographics. snap down 16% since ipo back in march but snapping to attention today. up a buck. up next, california's wine industry up in smoke as deadly wildfires play havoc in the golden state's wine region covering the grapes in dust and smoke. hillary vaughn on the ground in napa california to detail the devastation, and she'll tell us whether smoke paint as it's being called will sour this year's remaining crops. we're coming right back. you know who likes to be
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is everything ok?adt, i could hear crackling in the walls, and my mind went totally blank. all i remember saying was, "my boyfriend's beating me" and she took it from there. when a fire is going on, you're running around, you're not thinking clearly, so they called the fire department for us. and all of this occurred in four minutes or less. within five minutes. i am absolutely grateful we all made it out safely. it's kind of one of those things you can't even... you cant even thank somebody. people you don't know actually care about you. to protect what you love, call 1-800-adt-cares
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raging in california has now risen to 21. thousands of structures have been destroyed. wineries in the region are experiencing the grapes of wrath, as fire scorched vineyards all up and down the napa valley area. napa valley vintners estimate 90% of the region's grapes were already picked. that's the good news, but extremely concerned about what you see on your screen here, what's called smoke taint. when grapes on the vine are exposed to smoke and ash, they develop an ashy taste and that means no wine for those particular growers. hillary vaughn has been all over the story, there in napa. engulfed in smoke yourself, hillary. crazy. reporter: the smoke is actually building up here, liz, there's been flakes of ash in the air. but 3500 homes and buildings destroyed. 50 people had to be rescued from mountain top communities
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by helicopter and hundreds of people are still missing and unaccounted for. we did talk to residents who had to be evacuated from their homes. they had just minutes to escape before the wall of firestormed their neighborhoods. >> nothing like this. you know, yesterday i woke up and i looked outside and it looked other worldly, it didn't seem like this world. all the smoke and you couldn't breathe and it just seemed like something post apocalyptic, you know? it was just horrible. but you know, i grabbed the right thing, i grabbed my dog. >> the scariest thing is trying drive out, flames on either side, and the fire department is so overwhelmed that they can't even tell to you get out of the area and everybody was just trying to get out however they could. that was definitely the scariest part. >> she got out with bathrobe and hearing aid. reporter: smoke is rolling in
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and getting thicker, liz, you can tell from the visibility over this vineyard that white haze is all smoke. tasting room that you see behind me is rubble, to give you a sense how valuable the tasting rooms are for vineyards. it's a big tourist pull. the neighboring vineyard was spared structical damage but did work to put out landscape fires that kept popping up. the president told me they bring in $20,000 a day from wine tasting. every day spent under mandatory evacuation cuts into business. >> from my neighbors and strangers that have shown up and literally grabbing buckets and filling it up from the ponds and fighting landscape fires. really good shape, only landscape. but the community has a lot of unity. literally there was a couple of people driving down the street with a little water tanker and i stopped them and said do you have the time? come over for 15 minutes.
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i have a couple things i need to put out. they were like, fine, it was fantastic. reporter: they have 30% of grapes to harvest and they're going to start doing that tonight. liz: hillary, be careful, and keep us posted. thank you very much. get ready for campaign-style speech, and maybe new details on president trump's tax reform plan. with the closing bell ringing in 27 minutes now. the dow, s&p 500 and nasdaq all three on track for new record closes. please stay with us to see that. president trump's expected to arrive at joint base andrews. there, of course, is air force one, any moment now, and he will head to harrisburg, pennsylvania where we too will take you live next. kevin corke has a preview. this woman is laughing
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. liz: breaking news -- president trump via marine one has just landed you see. as soon as it stops, the president will jump on air force one. he's on his way of course to harrisburg, pennsylvania to make his latest appeal in the 5:00 p.m. eastern hour for tax reform. you could call it an appeal, you could call it a barn stormer of a speech. who knows what the tone will be when he takes it. maybe we can get ideas here from fox news' kevin corke live in middletown pennsylvania at the airport in harrisburg. kevin, what can we expect from the president's speech this evening? reporter: well, it won't be quite as raucous, the last time we were in the keystone state, he had been in office for 100 days, a huge rally. this time invitation only, and the president wants to get down to brass tacks, you see what i did there?
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let me tell you what we should expect as the president does try to talk taxes and truckers here in pennsylvania. okay, first of all, try to explain the need for tax reform. we talked about impact on the economy. next, he's expected to share a lot of personal stories. talk about the real people that are impacted by real tax reform, and then of course talk about how the truckers would benefit. let me share a couple of nuggets we're expecting the president to say during his speech. this is directly from the speech. nothing gets done in america without the hard-working men and women of the trucking industry, america depends on you for the fuel that powers our cars, the produce that nourishes our communities and the beautiful steel that sends up our tallest skyscrapers. sounds trumpian, doesn't it? when trucks are moving, america is growing, that's why my administration has taken historic steps to remove the barriers that slow you down. america first means putting american truckers first. now the president didn't
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talk much about taxes during time in oval office today. he spent time with the prime minister of canada, justin trudeau on, did talk about nafta and i'll punt to you for more on that. as far as tax reform is concerned, he's going to try to hammer home two key points tonight. one, it will save you, the average american, money. it will allow you to take home more of what you earn. that's a win for everybody. the second thing he's expected to do is once again talk about the need for republican leadership to do the right thing. they were sent to washington for a reason. he's expecting them to partner with him and get this over the finish line which didn't happen already with health care reform. i have to be honest, he's got to deal with headwinds, the bob corker situation, rand paul and others, that seemed to be difficult to pull along but he's hopeful that if he's clear and specific, he can get this one done before year one. liz, we'll be watching tonight. for now, back to you.
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liz: kevin, that's what we promised before the end of the year, maybe we will find out more when he gives the speech. thank you so much. developments on the breaking news about facebook that we gave ought the top of the hour. here is the update, the very latest. facebook coo sheryl sandberg met with lawmakers on capitol hill. facebook apparently agreed to hand over the russian advertisements in question to congressional investigators. the company also saying that russian entities paid 150,000 u.s. dollars to run 5200 ads on facebook's platform during the presidential campaign. perhaps we'll get clarity as to whether there was any kind of ability by the russians through facebook to affect the outcome of the election. now the president can ask, but it's kevin brady who must deliver. kevin brady the chairman of the house ways and means committee.
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here comes the president exiting marine one and getting on air force one to head to harrisburg, pennsylvania where he will speak before, yes, as we heard from kevin, the trucking members of america's trucking industry. now that's the platform, but the real message will be tax reform. that is what we have been told by the administration. now remember, it is the treasury secretary steven mnuchin and the national economic adviser to the president, gary cohn, who crafted the tax reform plan, and then of course president trump signed off on it, but very important right now to understand that it is kevin brady who is actually going to present the bill for the house. congressman brady, chairman of the house ways and means committee is getting right in front of our cameras. adam shapiro and i, two on one, we're going to get the scoop from congressman brady, what to expect from the tax reform bill and how close we are?
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with the aarp name, call unitedhealthcare now... or visit us online. we make it easy to enroll, too. so call or go online today. [sfx: mnemonic] . liz: a brand-new promise on tax relief may be unveiled in just two hours. quite frankly exactly two hours as the president sets to depart to his speech in harrisburg, pennsylvania. you see air force one there taking off. apparently, we are hearing that the president will make a promise to the middle class, that the typical american family would get a $4,000 pay raise under the trump tax plan, is that accurate? and where are we on getting detailed framework on this? at the center of the ambitious republican tax reform plan is house ways and means chairman and republican texas congressman kevin brady. with the congressman in his office at this very moment,
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adam shapiro. adam, take it. >> liz, thank you very much. we're going to dive right in with chairman brady. thank you for joining us. let's talk timing, the senate is not in session, they have to pass the 2018 budget resolution possibly next week, we have to have conference committee and both chambers pass, when is this going to happen? you are not going to release details of the bill until after that. >> that's right. the pivot is win the conference, congress has agreed on a budget and given us the firm baseline for tax reform. we will go immediately after that, lay out the chairman's mark. what it means is the ways and means committee comprehensive tax reform plan with all the details. then we'll begin the markup of the committee and house acts. >> it could be last week of october, first week of november? >> i learned not to plot out the timing in how these things go, that would be the perfect timing going forward. >> i want to get to something
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that liz just mentioned. president's promise, he mentioned it, is going to say in his speech that when we repatriate the trillions of dollars that companies have overseas back into the united states, however the mechanism is, that the average family from that repatriation of tax profits would see an increase of about $4,000. where does the figure come from? is that accurate figure? >> here's what i know, so if we lower tax rates so people can keep more of what they earn, if we make america competitive, lower the rates for local businesses to compete and win anywhere in the world. if we allow companies to bring the earnings when they compete and win back to being reinvested in the united states, if you do all those things, increase productivity, wages will go up, and we have seen the economic studies that show a family of four can achieve those types of pay raises if we get the economy going. >> glad you brought up family of four.
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gary cohn, adviser to the president said tax reform as unveiled to us would put a thousand dollars into the pocket of an average family of four. far be it to me to say that's not a lot of money, works out to 19 bucks a week for the average family. is that enough? $19 a week to deliver comprehensive tax reform to the average american? >> here's what i know, we have a couple big goals. want people to keep more of what they earn, that's the tax cut side. dramatically simplify the code. no more special breaks for some and headaches for the others. we want to get the economy going, raising your paycheck, awfully helpful to the middle-class family and by making america competitive, getting unlocking local businesses more job opportunities. so what i know is done right as we've seen in the kennedy cuts, reagan reforms, you can create a lot more on the family budget than there is today. >> when you talk about the family of four, a tax policy
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center said people who earn 150,000 to $300,000 a year could be caught here with the repeal of the deduction for state and local taxes. now representative collins, a republican from new york, said leadership has promised him that a fullout total repeal won't be included. what is he talking about? what are you negotiateing? >> well, here's what i know. that if we lower the tax rates and redesign this code, we can deliver text relief for families whether they're in a high-tax state or low-tax state. that is what we are driven toward. we are delivering lawmakers from the high-tax states to making sure we achieve that goal, bottom line today, this mess of a tax code, double taxes most americans for that deduction, taxes them once at the local level. taxes them with the higher federal tax rate so some can write it off.
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in the current code, double taxation at its worst. >> what i hear you saying then is argument to keep deduction for state and local taxes, even susan collins from maine, not a wealthy state said repealing the deduction, she has constituents who would lose the ability to write off auto tax, the excise tax and she's worried about that? >> she hasn't seen the final deals of the tax plan, how it hits middle income families and more. why don't we work together on the details, lay out the plan, and be able to go to the calculator, work through the numbers and see that, we have a choice, we can keep tax rates for families high and keep those deductions. we can do exactly what we do today or lower the tax rates for everybody and they just pay their own. >> i want to come to salt and the state and local tax deduction. we know the rates that have been proposed. where would the cutoff be for
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the income brackets. that is something else that hasn't been announced? >> that's the key. announcements by tax policy centers and others just have no credibility because they don't know yet of the size of the child tax credit, where other factors hit middle-class famileechlts those are the factors we're working through right now as we finalize the brackets. >> you know what the brackets are. as you lower as a citizen of the united states the tax rate and increase the amount of income subject to the tax, it's essentially a wash. where is my break? >> it would be standard deductions, we protect the first dollars you earn. we lower the rates at every level, increase the child tax credit, make it more available to more americans, all of which drive the rates down, and don't forget, that those people who are in the high-tax states, at every level when we take the
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10% bracket to zero. the 15% bracket down to 12, they get a tax cut at every one of those levels. at the end of the day, look at final design, apply it to your family, i think you're going to see we get tax relief. that's before the wages in that growth. >> i know liz claman is dying to get in on this. i'm going to turn it over and let her ask a couple questions, liz? liz: congressman, thank you for joining us. i'm listening to the conversation about brackets. i'm dying to know what do republicans consider wealthy, as in the so-called fourth tax bracket where they would maybe have to pay more? is that one million? five million? i've heard all kinds of numbers. >> i don't want to get ahead of the committee. liz, here's the whole go. we want to deliver very strong middle-class tax cuts. we also want to make sure that people get a tax relief regardless where they live. so no decision has been made on, in effect, a fifth bracket, zero is the first one, and
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notice it's been made where that would apply. that's the work the committee continues to do, that's what we'll lay out for the world to see and weigh after the budget is done. liz: congressman kevin brady and adam shapiro, thank you very much. more news straight ahead. our recent online sales success seems a little... strange?nk na. ever since we switched to fedex ground business has been great. they're affordable and fast... maybe "too affordable and fast." what if... "people" aren't buying these books online,
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range of maybe 13 to 20. i would be buying up to 20 times earnings. liz: isn't that rich? re with about 19 right you in. >> we're 18 forward numbers, we're getting up there. tax legislation is coming through, boost the e side of the p-e ratio. we would be comfortable buying 18 times forward. liz: we only hope something gets through on tax level. give us names the companies you feel fit into your parameters here? >> roche holdings. swiss company. been around 120 years. liz: pharma. >> 4 billion in sales. got genentech, long ago acquisition. biotech at its heart. strong pipeline of new products. see international expanding for them. china is more open to new products from the west now. and then -- liz: go. >> general mills. liz: third, quickly.
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coming up on the closing bell? >> valley national bank. regional bank. [closing bell rings] starting to see a turn in momentum. liz: marianne, thank you so much. thanks so much for watching the "claman countdown." go indians. david: new day, record high for all indices. the stocks charging ahead, closing up 40 points, inching closer to 23,000. today the s&p and nasdaq joining in the party. i'm david asman. melissa: i'm melissa francis this is "after the bell." more what is behind these new record highs. here is what else we're covering in the very busy hour ahead. president trump landing any moment in pennsylvania after meeting with canadian prime minister earlier. he is taking his tax reform message on the road. speaking to an audience that will conclude a big crowd of truckers, a group he calls the backbone of america. more on what to expect. th

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